Question

When a T-account has several items on both sides, the balance of the account is written:

a) on the side with the greatest number of items
b) on the side with the least number of items
c) on the side with the larger total
d) on the side with the smaller total
e) in none of these locations

Answer 1

The balance in a T-account is written on the side with the smaller total.

Step-by-step explanation:

In a T-account, the balance is written on the side with the smaller total.

Let's say we have a T-account with several items on both sides. We will add up all the amounts on both sides and compare them. The balance will be written on the side with the smaller total.

For example, if the total of the assets side is $500 and the total of the liabilities side is $600, then the balance will be written on the assets side since it has the smaller total.